Ally Bank cut their rates again although not by so much. Their savings account went from 2.05% to 2% APY, their 1 year CD went from 2.30% to 1.85% APY and their 9 month no penalty certificate of deposit rate went from 2.3% to 2.15% APY.
Ally Bank was recently getting pressure from the ABA (American Banker’s Association) to cut their rates on savings products. The FDIC also recently put a rate cap on under-capitalized banks, however these rates are still above their limits, so it’s doubtful this move by Ally Bank was to comply with the new regulation.
Ally Bank doesn’t lock in CD rates until they receive the funds, so if you recently opened an Ally Bank CD you might be getting the new rate. Some people have had luck in calling them in order to get the old rates on their CDs, so that might be worth a shot. Please leave a comment if you have or have not had success doing this.
The rates were so dominant before that even with these rate cuts they’re still competitive in today’s market. Ally Bank is FDIC insured.
I had a terrible experience with ally. I opened five cds on line. I transferred money to my checking acct. and mailed a check. The money never was transferred due to a bank misup. I called ally bank to advise them of the mistake I was told that I should not worry the check was cashed and they had my money and my cds were good. Meanwhile my check was never cashed.I still had the money in my account. I called ally on a regular basis to see what was happening each time I was advised that they had the money . This went on for 6weeks. I spoke to about 10 different people in that time. They all insisted they had the money.Finally after 6 weeks I got a letter from ally advising me the check had never cleared. Stay away from allym